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(Computing free cash flows and financing cash flows) Use the balance sheet, and income statement, for Knapp Inc. to compute the firm's free cash flows and the financing cash flows. Calculate the free cash flows using the following table. (Round to the nearest dollar. NOTE: Input cash inflows as positive values and cash outflows as negative values.) FREE CASH FLOWS After-tax cash flows from operations $ After-tax cash flows from operations Change in net operating working capital Decrease in net operating working capital $ Free cash flows Calculate the financing cash flows using the following table. (Round to the nearest dollar. NOTE: Input cash inflows as positive values and cash outflows as negative values.) FINANCING CASH FLOWS Cash flows distributed to investors Data Table Knapp Inc. Balance Sheet at 1/31/2017 and 1/31/2018 ASSETS 2017 2018 $ 151 418 644 $ 1,213 $ 2,602 (1,203) $ 1,399 $ 2,612 Cash $ 200 Accounts receivable 450 550 Inventory Current assets $ 1,200 Plant and equipment $ 2,200 Less accumulated depreciation (1,000) Net plant and equipment $ 1,200 $ 2,400 Total assets LIABILITIES AND OWNER'S EQUITY 2017 Accounts payable $ 200 Notes payable-current (9%) 0 Current liabilities $ 200 Bonds $ 600 Owners' equity Common stock $ 900 Retained earnings 700 Total owners' equity $ 1,600 $ 2,400 Total liabilities and owners' equity 2018 $ 160 149 $ 309 $ 600 900 803 $ 1,703 $ 2,612 Print Done Data Table 2018 $ 1,453 850 $ $ 603 $ Knapp Inc. Income Statement for Years Ended 1/31/2017 and 1/31/2018 2017 Sales $ 1,200 Cost of goods sold 700 Gross profit 500 Selling, general and administrative expenses $ 30 Depreciation 220 250 Operating income 250 Interest expense 50 Net income before taxes 200 Taxes (40%) 80 Net income $ 120 46 203 249 $ $ 354 58 $ $ 296 118 $ 178 Print Done